With low inventory, everyone is receiving offers from investors to purchase homes even when those home owners haven’t listed their home(s) for sale. Phone calls, text messages, and letters in the mail. Sometimes it’s a daily occurrence!
Due to our low inventory, a predatory practice has surfaced. Investors are approaching home owners directly to purchase their homes and the contracts used aren’t approved by the Department of Real Estate.
Sellers are unwittingly going along with the sale without being protected during the transaction because the contracts don’t cover language protecting them from a variety of pitfalls.
The other aspect of these investor purchases, is the investor buying their home is also pre-selling their home before the sale closes to someone else, and all without the seller knowing. Trying to cancel these contracts can be a nightmare!
If you are a home seller, please contact a licensed real estate agent so you can understand every aspect of selling your home. Don’t fall prey to a saavy investor whose only interests is their pocketbook.
If you have an elderly relative who is a home owner, reach out to them and explain this predatory practice. Protect them from unknowingly selling their home for less than it’s worth and to an investor who does not have their best interests at heart.
Having seen this practice in action, it sickens me for those that don’t know the consequences of not using a full time professional in a real estate sale.